Can you be too honest?

In this era of transparency, blogging and engaging with customers, we are seeing businesses being more open with customers about mistakes and weaknesses. In the past, when companies made mistakes, you often heard a deathly silence - no admission of guilt, just a stonewall, in the hopes that the issue would eventually go away.

However, an increasing number of businesses are being more transparent about their mistakes or vulnerabilities. Corporate blogs are often used as a method of communication with consumers, addressing customer complaints or grievances. It's become the ideal place to admit mea culpa. Better to say so on a blog - your conversation with customers - than an official press release.

While being honest with customers is essential, can you be too honest?

Admitting mistakesYesterday, I was shopping around for an external hard drive for one of my businesses. As a big fan of the internet, I found price comparisons and a number of places offering discounted prices when you buy online.

I came across one particular shopping portal that stated on their blog:Thanks to those customers that made it a great end of financial year for us. We had a few mishaps, 2 customers are still waiting for the correct goods to show after the wrong ones were shipped (big oops) but all in all, about 112 satisfied orders were shipped in the last 2 days before EOF - and that we are proud of.

They admitted their mistakes and were transparent about their failures. Even though they were highlighting errors, I kind of liked the fact they weren't shying away from it. I was almost ready to pull out my credit card. But then I read on.

Can you go too far?In an earlier blog posting they wrote:We don't talk to you on the phone. This is good and bad. Some customers don't like this, and that's fine, others are neither here nor there on it. If we do our job, you wont have to speak with us, and us not with you.

Its not that we are miserable people here ... its just that our systems are such that to pick up the phone every time a customer has a query, about their order or product on our site, would run us into the ground with admin, and we could not do things as low priced as we do.

Oh and not having a phone number protects us from customers. Don't laugh, until you operate your own business. Its amazing the enquiries we get via email, and when we operated a phone, OMG.

Customers calling every 15 minutes to see where our courier was?

Customers leaving 15 messages over the weekend because they ordered 9pm Friday night and we haven't done anything with their order until we got in Monday morning.....then abusing our staff.

Internet Ferals.
Its quite sad actually.

Okay, being honest is one thing. But bagging out customers who are concerned about their order is another.

I know that some online shopping portals can only offer discounted deals as long as you are happy to compromise on other things. For example, I sometimes purchase from an online store that encourages you to do all shopping online. If you do want to talk to a human being, it costs a "$5 admin fee for phone orders" .

I didn't end up buying the hard drive from the company who thought some customers were "internet ferals". As a business owner, even if you truly think this, it is wise to say it out loud or post it on a blog?

Or is this business just being honest and transparent?

Posted
by Valerie KhooOctober 3, 2007 9:48 AM

LATEST COMMENTS

Like most business being honest comes down to managing expectations and then communicating variance from the expected service level. If the customer know from the start that the only means of communication with the company is via email then there is no need to justify or explain the lack of telephone contact. On the other side, the business should be keeping to their own advertised service standards and ensuring that product is delivered in the expected duration and/or notifying customers of variance.

Is this being honest or just being factual and managing expectations?

Posted by: Marty McKowen on October 15, 2007 9:32 AM

I can fully understand this. Having the phone ring is very debilitating for the owners. When you are trying to set up a business with limited resources and staff, the phone is as much a curse as a blessing.

This is even truer for technology businesses where every second call is from someone who won't read the manual or didn't read the product description properly.

So I have a lot of sympathy for the Internet Ferals but, as Frank says in the above post, I think it will turn off customers which is what it did to Valerie.

I have my two bob's worth on this on my Cranky Tech blog.

Posted by: Paul Wallbank on October 13, 2007 9:57 PM

The sceneary cited in the article is NOT a case of being too honest, it is still a reflection that this company does not know how to handle customers.

"Too" honest means being hoest the result actually hurts the other person, so there is no "real" benefits for the customers.

Why can the company state that the same question does not need to be posted multiple times in 24 hours since you answer will get answered in 24 hours regardless? Did the company has to resort to call customers "internet ferals" because they like the quietness? It is not honest it is insulting and shows the inmnaturity of this company.

If the company handles the complaints right then there will be no questions of being too honest, period.

Posted by: Frank Ho on October 6, 2007 2:05 AM

To me it is all about spin - there is always a motive behind what is written and what's important to me is whether the "honest" reporting is consistent with the actual experience.

If the blog reflects the actual experience - no problem, I am happy to know. But who's keeping the bloggers honest when that's not the case - the blog administrator?

I know that not all of my blog feedback makes it onto sites, do other people have this experience and what does that have to say about transparency?

Jen Dalitz
www.sphinxx.org

Posted by: Jen Dalitz on October 4, 2007 6:45 PM

I don't think you can be too honest.

Now some honesty from you: would you be one of the people leaving 15 emails over the weekend. If so I'd be glad to not have you as a customer (honestly).

Posted by: Evan Hadkins on October 4, 2007 10:43 AM

Honest but tactful is common sense, but how can you be honest AND be tactful?

It depends on our own individual morals as to where we draw the line, doesn't it?

Or maybe its best to say something like "we try to be the best..........you decide".